Answer:
1/4
Step-by-step explanation:
3/12 simplified is 1/4.
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Answer:
146.66
Step-by-step explanation:
Use present value equation.
If present value of annuity equals 400,000, then you are indifferent.

where v = 1/(1+r) and A = annual payment = 800,000/20 = 40,000
PV = 400,000
After subbing in the numbers, the equation is:

Therefore at interest rate of about 7.75% you are indifferent.
So take 112 and multiply it by 7, 7x112 = 784.